KPIT Technologies (KPITTECH) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 revenue grew 23.1% year-over-year in USD terms, led by Middleware, Powertrain, and Asia, with consolidated revenue at ₹13,646.3 million.

• Net profit rose 52.4% year-over-year including one-time gains from the Qorix JV, reaching ₹2,041.6 million.

• EBITDA margin improved to 21.1%, with 31.0% year-over-year EBITDA growth.

• $202 million in new engagements closed during the quarter, maintaining a healthy pipeline.

• Launched EcoVoyage 2030, a formal sustainability initiative targeting net zero by 2030.

Financial highlights

• Q1 FY25 revenue from operations: ₹13,646 million, up from ₹10,976 million in Q1 FY24.

• Net profit for Q1 FY25: ₹2,042 million, up from ₹1,340 million in Q1 FY24.

• EBITDA for Q1 FY25: ₹2,882 million, up from ₹2,200 million in Q1 FY24.

• EPS (Basic): ₹7.53 (Q1 FY25) vs ₹4.95 (Q1 FY24).

• Net cash balance at quarter-end: ₹10.01 billion, with a net cash addition of ₹1.5 billion.

Outlook and guidance

• Full-year revenue growth guidance reiterated at 18–20%.

• Management expects continued growth momentum, supported by investments in differentiated offerings and expansion into new geographies.

• Next quarter will see a 2.8% impact from salary increments and ESOP costs, with ESOP impact rising from 0.7% to 1%.

• Guidance for EBITDA margin remains at 20.5%+ for the year.

• Fair demand visibility anticipated in the medium term despite industry pressures.